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Government Watchdog Finds Trump Pocket Rescissions Violate Impoundment Control Act

September 29, 2026

WASHINGTON – The Trump administration is breaking the law by attempting to unilaterally eliminate (or “impound”) nearly $1 billion in taxpayer funding that was constitutionally enacted – approved by the House, the Senate, and signed by the President – a new report from the Government Accountability Office (GAO) has found. House Appropriations Committee Ranking Member Rosa DeLauro (D-CT-03) issued a statement regarding the ruling:

“This finding confirms what we have long known: the Trump administration’s so-called ‘pocket rescissions’ are anti-constitutional and illegal. Office of Management and Budget Director Russell Vought is breaking the law by unilaterally freezing these funds until they can no longer be used, which is why the agency requires dedicated, nonpartisan oversight, and why Congress must remove or constrain OMB’s authorities to manage American taxpayer funding. 

“The cost of finding or staying in your home, whether you purchase or rent, is one of the worst parts of this administration’s cost-of-living crisis. Instead of working to bring down those costs, OMB is illegally freezing all funding provided for Housing Counseling Assistance. This funding was signed into law by the President after being approved on a bipartisan basis, by Democrats and Republicans in the House and in the Senate, to support working families across the country. Rather than working to bring down costs for families who are struggling, the White House is breaking the law to steal resources from our communities.

“I will continue to demand reforms to prevent this kind of abuse of power, and I hope my Republican colleagues do the same. As we move forward with fiscal year 2027 funding negotiations, protecting Congress’s power of the purse will remain a top priority.”

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